FAIR VALUE (Tables)

9 Months Ended

Jun. 30, 2023

The estimated fair value of long-term debt, including current maturities, excluding natural gas meter finance arrangements, debt issuance costs and solar asset financing obligations, is as follows:


(Thousands)	June 30, 2023		September 30, 2022
Carrying value (1) (2) (3)	$	2,537,845	$	2,362,845
Fair market value	$	2,177,799	$	1,946,356

(1)Excludes the sale leasebacks of natural gas meters of $33.3 million and $30.3 million as of June 30, 2023 and September 30, 2022, respectively. The fair value of certain sale leasebacks of natural gas meters amounted to $22.2 million and $15.7 million as of June 30, 2023 and September 30, 2022, respectively.

(2)Excludes NJNG's debt issuance costs of $9.7 million and $9.5 million as of June 30, 2023 and September 30, 2022, respectively.

(3)Excludes NJR's debt issuance costs of $3.8 million as of both June 30, 2023 and September 30, 2022.

Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis

Assets and liabilities measured at fair value on a recurring basis are summarized as follows:


	Quoted Prices in Active Markets for Identical Assets			Significant Other Observable Inputs			Significant Unobservable Inputs
(Thousands)	(Level 1)			(Level 2)			(Level 3)			Total
As of June 30, 2023
Assets:
Physical commodity contracts		$	—		$	7,287		$	—	$	7,287
Financial commodity contracts		26,704			—			—		26,704


Money market funds		131			—			—		131
Other		2,651			—			—		2,651
Total assets at fair value		$	29,486		$	7,287		$	—	$	36,773
Liabilities:
Physical commodity contracts		$	—		$	26,220		$	—	$	26,220
Financial commodity contracts		4,600			—			—		4,600


Total liabilities at fair value		$	4,600		$	26,220		$	—	$	30,820




As of September 30, 2022
Assets:
Physical commodity contracts	$	—	$	10,485	$	—	$	10,485
Financial commodity contracts	20,517		—		—		20,517
Financial commodity contracts - foreign exchange	—		18		—		18

Money market funds	59		—		—		59
Other	1,884		—		—		1,884
Total assets at fair value	$	22,460	$	10,503	$	—	$	32,963
Liabilities:
Physical commodity contracts	$	—	$	30,623	$	—	$	30,623
Financial commodity contracts	33,231		168		—		33,399
Financial commodity contracts - foreign exchange	—		17		—		17
Total liabilities at fair value	$	33,231	$	30,808	$	—	$	64,039